The owner of a coffee shop is considering selling this shop and retiring. An investor has offered to buy the coffee shop for $150,000 whenever the owner is ready for retirement. The owner is considering the following three alternatives.

1. sell the coffee shop now and retire.

2. hire someone to manage the coffee shop for the next year and retired this will require the owner to spend $50,000 now but will generate an operating cash inflow of $1000 at the end of year one in one year starting from today, the owner will sell the coffee shop.

3. Scale back the coffee shops hours and ease into retirement over the next year. This will require the owner to spend 45,000 on expenses now but will generate an operating cash flow of $89,000 at the end of year one in one year starting from today, the owner will sell the coffee shop.

if the discount rate is 20%, then which option generates the highest valenfor the cutrent owner?